Ready to expand your business north of the border? Find out how outsourcing to Ontario distribution services can simplify your entry into the Canadian marketplace.
Sending your products across the border at scale can be daunting. From navigating the complexities of customs and taxes to grappling with the logistics of international shipping… The challenges are real, costly, and at times overwhelming.
But don’t let these obstacles hold your business back from seizing this lucrative opportunity.
In this article, we’ll explore how outsourcing your Canadian deliveries to an Ontario distribution service helps you go global.
KAIN Logistics is here to help you navigate the best course for your business. Let’s dive into how outsourcing can set you on a path toward success and profitability in the North.
5 Costly Pitfalls of Cross-Border Distribution (Without a Reliable Ontario Distribution Service)
Navigating the Canadian market can feel like a maze of logistical hurdles and regulatory pitfalls.
There’s customs compliance, cross-border shipping costs, and grappling with the vast Canadian geography.
But fear not. In this section, we’ll break down these complexities and offer insights on how your business can overcome these obstacles.
1. Canadian Customs Regulations and Compliance
One of the biggest challenges that U.S. businesses face when expanding to Canada is navigating customs regulations. You have to comply with Canadian customs regulations, including documentation, duties, and taxes. Failure to follow these regulations can lead to trouble in the form of delays, fines, or even refusal of entry for shipments.
Moreover, navigating the complexities of duties and taxes is not a simple task.
Each misstep could potentially land you with financial losses and deal a blow to your business’s reputation in the Canadian market.
2. Cross-Border Shipping Costs
Duties, taxes, and shipping fees can significantly reduce your profit margin when shipping across the border.
Businesses can struggle to balance quality and speed when it comes to cross-border shipping.
3. Fulfillment and Warehousing
Establishing a new warehouse or fulfillment center in Canada is costly and time-consuming.
Managing a warehouse in another country also poses challenges. Regulations in Canada may differ from your local regulations. Ensuring communication between your U.S. and Canadian workforces can also be difficult.
4. Varied Shipping Options and Carriers
For shipments within the United States, you likely already have a list of trustworthy and reliable domestic carriers.
Of course, that list didn’t come about overnight. It takes a great deal of time and effort, not to mention trial and error, to build a roster of carriers you can rely on.
Unfortunately, not all your domestic carriers will provide shipping within Canada. Choosing the right Canadian carrier may take many more hours of research and negotiations. There is also the risk of delays and other issues.
5. Geographic Challenges
Keeping Canadian customers happy requires consistent service levels across the country. However, Canada presents unique challenges when it comes to distribution and fulfillment. Canada is a large country with a dispersed population. Providing service in remote areas tends to mean longer delivery times and higher transportation costs.
Why Ontario Distribution Services are the Solution to Cross-Border Distribution Challenges
Although expanding into Canada is challenging, there are effective solutions available. Below, we’ll explore the numerous benefits that reliable Ontario distribution services can provide.
At KAIN Logistics, we offer businesses like yours the leading Ontario distribution service in the industry. Contact us to see how partnering with a local distribution service can streamline your operations, enhance your customers’ experience, and ultimately, drive your success in the Canadian market.
1. Accelerating the Delivery Process
Delivery times can significantly impact your retail business. In one survey, approximately 50% of consumers said they were only willing to wait up to two days for their products to arrive.
Some customers may avoid your company altogether if shipping takes too long. On the other hand, a more streamlined product distribution process can foster loyalty and earn lifelong customers.
Issues at customs can drastically slow down shipping and delivery times. However, partnering with a third-party logistics company that provides Ontario distribution services, like KAIN Logistics, greatly accelerates delivery times.
Our warehouse is located in Simcoe, Ontario, just a short drive from Canada’s biggest population centre. We are close to airports and major highways most conducive to streamlined deliveries. By shipping your products domestically, you eliminate customs-related slowdowns and reducing delivery times.
2. Access To The Canadian Market
With a partner like KAIN Logistics, you’ll have more access to the Canadian market.
As your third-party logistics company, we’re invested in your success. A partnership with us isn’t only about the nuts and bolts of warehousing, fulfillment, and distribution. We also offer Canadian market knowledge, insights, and access to help your cross-border business thrive.
Our specialized team can help you craft a logistics strategy that caters to local markets and your target consumers.
3. Reduced Warehousing and Fulfillment Costs
Outsourcing your product distribution means your company doesn’t have to worry about the labour-intensive process of receiving, storing, picking, packing, and shipping to Canadian customers.
You won’t have to make room in your domestic warehouse for products bought by Canadians when you outsource. Nor will you need to field the labour to fulfill these cross-border orders.
Plus, since your products will be stored in our warehouse, your shipping will remain domestic instead of cross-border.
Yes, you’re paying a third-party provider. However, paying for Ontario distribution services is more cost-efficient than handling fulfillment yourself.
4. Logistics Expertise
Your expertise lies in your products. Working with a third-party logistics company like KAIN means you can tap into our expertise in Canadian logistics. In return, you have more time to focus on what you do best.
We know the ins and outs of product restrictions, tariffs, and taxes. We’ll also provide insights on optimizing delivery timeframes, volume shipping discounts, and storage space.
Our expertise will help you make informed decisions about cross-border distribution strategies.
5. Streamline and Save Time
Working with KAIN Logistics enables a seamless fulfillment process that lets your team concentrate on other core aspects of your business. We safeguard your products in our 187,000 sq. ft. Simcoe warehouse, offering round-the-clock security to protect your merchandise.
Then, once your Canadian customers place an order, we manage the entire fulfillment process. Meanwhile you can focus on promoting your products and expanding your business.
Moreover, we have relationships with Canadian couriers, CN rail, and freight forwarders. This gets you favorable pricing and shipping time to and from our Simcoe, Ontario warehousing and storage facility.
6. Flexible Scaling
One of the key benefits of eCommerce is the seemingly limitless potential to reach new markets. At its core, it empowers businesses of all sizes to compete on the global stage.
Outsourcing cross-border deliveries to KAIN Logistics lets you scale your business more flexibly. You enjoy the reach of a global giant without the budget of one.
We’ll oversee the entire process, from storage to fulfillment and delivery. With our extensive knowledge of transportation infrastructures, your products will reach customers on time and in perfect condition.
7. Boost Customer Satisfaction
Ultimately, your customers are the backbone of your business. Partnering with an Ontario distribution service helps you go the extra mile with on-time, efficient delivery.
Happy customers will praise not only your products but also your impressive delivery times.
Every advantage counts. The faster a product reaches a consumer, the more likely they are to order again in the future.
Leverage Ontario Distribution Services to Thrive in the Lucrative Canadian Market
By partnering with an Ontario distribution service provider, you can effectively dismantle the obstacles that stand in your way to the Canadian market.
Let KAIN Logistics manage the complexities of cross-border distribution to pave your way to a successful cross-border expansion.
Contact us today to discuss your goals and see how we can help bring your cross-border vision to life. Or, if you have all the details ready to go, request a custom quote from one of our distribution specialists.